37 states that don't tax Social Security benefits

37 states that don't tax Social Security benefits Social Security benefits are not taxed in 37 states, but some of these states may not be tax-friendly for retirees, according to this article on Motley Fool. For example, although California doesn't tax retirement benefit, the state's average combined state and local sales tax bracket is 8.48%, while almost all types of retirement income, including distributions from 401(k)s, IRAs and pensions, are subject to tax.

Making a living as a freelancer? Here’s how to save for retirement A Roth IRA, a solo 401(k), a SEP IRA, and SIMPLE IRA are among the tax-advantaged savings vehicles that self-employed workers and freelancers can use to build their nest egg, according to this article on The Wall Street Journal. While retirement saving can be challenging, self-employed people should make it a priority and develop a long-term plan for building their nest egg. “Whether you are taking a gig or working full time for a corporation, you still need to have that same long-term plan. Your long-term plan doesn’t stop just because your source of income has changed,” says a certified financial planner.